Ethiopian Airlines stated (16-Aug-2012) it has secured USD1 billion of financing from J P Morgan for its 10 Boeing 787-8s. The US Export-Import Bank (Ex-Im Bank) provided export credit agency support via guaranteed loans that cover 85% of the total cost of the aircraft. The balance will be financed by a group of financial institutions including ING Capital, the Emerging Africa Infrastructure Fund (EAIF), The Netherlands Development Finance Company (FMO) and the ICF Debt Pool (ICF), as well as from internal cash resources of the carrier. Ethiopian received its first 787 on 14-Aug-2012. The airline will take delivery of five 787s before the end of the fiscal year, as well as three 737-800s and five Q400s. [more - original PR]
Ethiopian Airlines acquisition of 10 787s principally financed by JP Morgan
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Royal Brunei Airlines (RBA) will make a big leap in improving efficiency and profitability on 1-Dec-2013 as the carrier introduces Boeing 787-8s on the Bandar Seri Begawan-Dubai-London Heathrow route. Another leap could occur in 2016 or 2017 as the carrier, somewhat surprisingly given its very small size, has received aggressive proposals and early delivery slots for new-generation narrowbody aircraft.
RBA became in Oct-2013 the first 787 operator in Southeast Asia. It has already taken delivery of two 787-8s, one of which is in static display this week at the 2013 Dubai AirShow. RBA will be the first carrier to operate the 787 between Dubai and London, one of the world’s largest routes, and in Mar-2014 will become the first carrier to have an all-787 long-haul operation.
RBA meanwhile is in the closing phases of a competition between Airbus and Boeing for its new-generation narrowbody requirement, which includes over 10 aircraft for delivery from end of 2015. Airbus and Boeing are offering early delivery slots for their A320neo and 737 MAX families, with support from leasing companies, and the campaign has become very competitive as Boeing is eager to switch RBA’s narrowbody fleet from Airbus. RBA has already ruled out Embraer and Bombardier, after earlier considering large regional jets.
Gulf airlines at the Dubai Airshow smash order records, a vivid message to governments and industry
The opening day of the Dubai Airshow brought orders for over 350 widebody passenger aircraft from Gulf carriers. The size of the orders – 150 777Xs and a further 50 A380s for Emirates – gives a sense of the scale Emirates, Etihad and Qatar Airways are still to achieve. The three have already re-written aviation, from network construction to partnership strategy. While markets have benefitted, the three have caused consternation. No doubt that after this spate of orders, competitors are worried now that projected growth targets in abstract percentage terms have been translated into metal.
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